EC Credit Control is today a recognised leader in the Debt Collection and Credit Management industries.

1300 640 163

PO Box 248,
Botany, NSW 2019

Great credit managers beware!

In today’s business, a great credit manager that keeps cash flow moving by chasing down debtors is gold. This hasn’t changed, but they need to be protected.

As a regional manager for a debt collection company, I talk to many credit managers and some are good at maintaining the pressure on their debtors and some just rely on them to pay when they can. The guys that create an urgency for the debt to be finalised are the ones that are not being protected. Securing the debt is critical to these high achievers because the Corporations Act says that if they do get paid, by instalments, or payment arrangements then by their actions they are indicating that they understand the debtor is in trouble.

The flow on effect of being successful at getting paid can be a major problem if the debtor has an administrator appointed. The first thing a receiver does is to check if there is enough cash to pay his fee, then he checks to see who are the secured creditors. Once these are eliminated he then checks to see who has been paid in the last six months. This is where the good credit mangers are at risk. If they have done their job and ensured payment, then they will often be required to return the funds paid to them in the last six months.

This is where the PPSR comes in. This simple and very inexpensive registration ensures that you as a credit manager never have to concern yourself with having been paid in preference to the secured creditors, as you are one. Having a perfected secured position registered on the PPSR means that you cannot be paid unfairly.

A client of mine that I have been trying to convince that they should be registering their security interest in their customers for the last twelve months has just received a letter requesting they return $32k. The email asked “is this what you have been warning us about”? Yes this is exactly what I have been warning them may happen and it now has.

The moral is that all of you really good credit managers out there that keep the doors open by ensuring the money keeps rolling in, get your EC Credit Manager to commence your PPS registrations urgently or you may have to return all of that cash that you fought hard to get in!

Older Articles

Contact Us

Testimonials

There sure are a lot of slow payers out there thank goodness for EC.

1

Using the on-line services is fantastic. I can print reports and check the status of my debts easily and quickly.

1

We would like to express our sincere thanks to EC Credit Control. We had a debt that was of a considerable amount to any small business but with the help of EC Credit Control we are very happy to say the full amount has been recovered.

1

EC Credit Control provided us with great support and communication throughout the entire process. It was a relief to know that we had professional people to help and recovery the debt on our behalf.

What our Clients Say

Using the on-line services is fantastic. I can print reports and check the status of my debts easily and quickly.

1

We would like to express our sincere thanks to EC Credit Control. We had a debt that was of a considerable amount to any small business but with the help of EC Credit Control we are very happy to say the full amount has been recovered.

1

There sure are a lot of slow payers out there thank goodness for EC.

1

EC Credit Control provided us with great support and communication throughout the entire process. It was a relief to know that we had professional people to help and recovery the debt on our behalf.